HUMAN RESOURCE MEASURES OF PERFORMANCE Flashcards
What is this apart of
This is a part of the SWOT analysis, as you’re trying to identify what the businesses strengths, weaknesses, opportunities and threats are.
What do you do with the information that you gather
You then use that information to do strategic analysis to solve the businesses threats and weaknesses.
What is the measurement/ formula for labour turnover
Number of staff leaving / average number of staff X 100
What is the measurement/ formula for labour retention
Number of staff remaining / number of staff X100
What is the measurement/ formula of workers
Total output / number of workers
What could high labour turnover mean
High labour turnover could be a weakness/ threat to the business, as there is a reason why employees are leaving their jobs. Also the costs side of things is high, as you need to be recruiting and training staff.
What could high labour retention mean
High labour retention would be seen as a strength to most businesses, as staff are obviously enjoying their position enough to stay with the company for long periods of time. It’s also a strength as the company won’t have to spend money replacing them (recruiting, training etc)
What could rising employee costs could signify a fall in productivity
Employee costs as a % of turnover: Rising employee costs may signify falling productivity, which would be seen as a weakness/ threat to most businesses. Declining employee costs may signify that productivity is rising, which would be seen as a strength/ opportunity in most businesses, as productivity is rising, the costs per item manufactured is declining, which is overall a good thing.
What is a HR audit
HR Audit (workforce plan): Identifying what skills your team has, and putting together a SMART plan will give the workforce a clear plan to work towards, with clear objectives, which will give the business a higher chance of achieving its goals - Without doing this, the business risks the business has a lower chance of success - Like the great quote goes “Failing to plan is a plan to fail”
